Mercury Rising 鳯女

Politics, life, and other things that matter

Archive for November 17th, 2010

I Want This, Scarily Enough

Posted by Phoenix Woman on November 17, 2010

It’s an iPod! It’s a watch!

It’s a floor wax! It’s a dessert topping!

Posted in Uncategorized | Tagged: , | 4 Comments »

AdAge Debunks The GOP/Media Complex’s Favorite Lie

Posted by Phoenix Woman on November 17, 2010

The favorite lie of the GOP/Media Complex is that Democrats must always move to the right and be like Republicans. Never mind that the most conservative, Republican-ish Democrats were the ones that took the biggest hit at the ballot box earlier this month, the media arm of the GOP/Media Complex has remained on message and is still blanketing the nation’s TVs and radios with this crapola.

But what do the actual media experts, the advertising professionals, have to say? You won’t find it on the evening news, but you will find it in AdAge — and guess what? The take is not that the Democrats and Obama lost big because they didn’t suck up enough to the far right, but that they lost because they abandoned their liberal and progressive base:

Listenomics dictates that constituencies are not aggregated because you’ve sweet-talked them into the fold. They are there because they care. They feel a proprietary stake in what they’ve signed up for. You ignore them at your peril, not only because they’re a resource, but because they are rendered useless or worse once they feel betrayed — which, very quickly in the Obama administration, they did.

When the health-care bill was facing a GOP stonewall, before logrolling for swing votes with reluctant Senate Democrats, the president should have gone to his peeps explaining his options and asking for guidance. For starters, they would have put political heat on the bill’s opponents. For another, they would not have felt blindsided by his ultimate compromises. Instead, he disappointed a broad swath of his base who wondered if the vision they’d been baited with was switched for standard-issue political expediency.

Posted in 2010, Democrats, GOP/Media Complex | Comments Off

Is the dollar in danger?

Posted by Charles II on November 17, 2010

Maybe in the long term. But Paul Kasriel has this important observation:

Chart 1 shows the history of “money printing “/ “debt monetization” from 1953 through 2009 in the U.S. The median annual percentage change in money printing / debt monetization during this period was 7.5%. In 2009, for the first time during this period, money printing/debt monetization contracted.

What Kasriel is pointing to is that banks have been de-leveraging (and not making loans), so the total amount of money is actually decreasing. The Fed has not been doing what it usually does, namely monetizing federal debt. It has been monetizing private debt, which has stabilized the banks. In 2010, with QE2, there has been a small net increase in money. But it’s purely within historical norms, and follows a contraction of money in 2009. Kasriel doesn’t talk about what’s happened in the household sector, but there the deleveraging has been going on at a ferocious rate, as it should be. Americans are paying down debt, and if they’re smart, they’ll keep paying it down, because when interest rates do rise (in, say, five years), people who are in debt are going to be in trouble.

Of course, the same can be said of banks and the federal government.

Posted in banking, financial crisis | Comments Off